British families - including veterans - are being evicted from their homes to make space for migrants, it has been claimed.

Former Reform UK chairman Zia Yusuf accused Home Secretary Yvette Cooper and asylum accommodation provider Serco of "Bond villain wickedness" by offering landlords five to seven-year contracts "20 to 30%" above market rates.

Some 32,345 asylum seekers are living in hotels, while 66,683 are living in houses, flats and bedsits across the country.

Chancellor Rachel Reeves has confirmed Labour wants to close every migrant hotel by July 2029.

But Mr Yusuf revealed: "In an unholy alliance of Serco, and Yvette Cooper, the Labour Home Secretary, illegal migrants are being deposited into communities, where there is no say for the local people. People from alien cultures. There's a lot of crime as a result of this.

"What take this to Bond villain levels of wickedness - there are section 21 eviction notices being given to British tenants, including, in my inbox I have examples of veterans including one who is suffering from PTSD, receiving a section 21 notice because Serco, at the behest of the Home Office and at the behest of Keir Starmer, is offering five to seven year contracts, 20 to 30% above market rates, to house illegal migrants and asylum seekers.

"As a result of that, British people are being turfed out onto the street. There is nothing about that that is remotely acceptable. And it's why the social contract in this country is hanging by a thread."

Mr Yusuf also challenged Chief Secretary to the Treasury, Darren Jones, about rumours the Home Office is buying hotels to house migrants.

He said: "We're talking about asylum hotels and Rachel Reeves saying we're going to shut down asylum hotels.

"There's a report today that this Labour Government is not only renting hotel spaces, they are actually going to buy hotels. Buy hotels with the taxpayers' dime.

"Can you just categorically deny that this is the case?"

Squirming, Mr Jones claimed: "We own Government-owned temporary accommodation for when people are waiting for a decision.

"That is true. We have had to buy some to get out of hotels. But it is temporary accommodation. And it is cheaper to do it that way."

Treasury documents show that taxpayers will still be shelling out £2.5 billion in 2028/2029 on asylum.

Spending plans also show the Home Office will spend 3.6 billion on asylum in 2025/2026, £3.6bn in 26/27 and £2.9bn in 27/28.

Border Security and Asylum Minister Dame Angela Eagle said on Tuesday revealed ministers want to use more abandoned tower blocks, "old teacher training colleges", or former student accommodation as a substitute for hotels and renting properties.

And more migrants are set to be housed in "dispersed accommodation" - houses, flats and bedsits.

The Chancellor said an extra £200m will allow the Home Office to "cut the asylum backlog, hear more appeal cases and return people who have no right to be here".

This could save taxpayers £1bn a year, Ms Reeves has claimed.